MIRA
INFORM REPORT
|
Report Date : |
22.05.2014 |
IDENTIFICATION DETAILS
|
Name : |
KIOCL LIMITED |
|
|
|
|
Formerly Known
As : |
KUDREMUKH IRON ORE COMPANY LIMITED |
|
|
|
|
Registered
Office : |
II Block, Koramangala, Bangalore – 560034, Karnataka |
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|
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|
Country : |
India |
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|
|
|
Financials (as
on) : |
31.03.2013 |
|
|
|
|
Date of
Incorporation : |
02.04.1976 |
|
|
|
|
Com. Reg. No.: |
08-002974 |
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|
|
|
Capital
Investment / Paid-up Capital : |
Rs. 6345.138 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L13100KA1976GOI002974 |
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|
|
|
Legal Form : |
A Public Limited Company |
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|
|
|
Line of Business
: |
Subject is engaged
in the business of manufacturing and exporting high quality Iron Oxide
Pellets and supply of pig iron for domestic market. |
|
|
|
|
No. of Employees
: |
1251 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (54) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 83800000 |
|
|
|
|
Status : |
Good |
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|
|
|
Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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|
Comments : |
Subject is a Government of India Enterprise. It is an established
company having good track record. There seems some dip in the turnover and profit of the company during
year 2013. However financial position of the company is good. No borrowings
recorded by the company. Trade relation reported to be fair. Business is active. Payment terms
are reported to be regular and as per commitment. In view of government support, the company can be considered normal
for business dealing at usual trade terms and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – March 31, 2014
|
Country Name |
Previous Rating (31.12.2013) |
Current Rating (31.03.2014) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
INDIAN ECONOMIC OVERVIEW
US investment bank
Goldman Sachs has upgraded its outlook on Indian markets as it expects
positive impact of the election cycle.
India’s economy may
grow 4.7 % in the current financial year, lower than the official estimate of
4.9 %, Fitch Rating said. The global rating agency expects the economy to pick
up in the next two financial years.
Global ratings
agency Standard & Poor said increasing focus by India Inc on lowering debt
is likely to improve their credit profiles.
Singapore (1.1
million Indian tourists in 2012), Thailand (one million), the United Arab
Emirates ().98 million) and Malaysia ().82 million) emerged as the preferred
holidays hotspots for Indians. The total figure is expected to increase to 1.93
million by 2017, according to the latest Eurmonitor international report.
There is a $29.34 bn
outward foreign direct investment by domestic companies between April and
January of 2013/14 which has seen some signs of recovery according to a Care
Ratings report.
There are 264 number
of new companies being set up every day on average during 2014. Most of them
are registered in Mumbai. India had 1.38 million registered companies at the
end of January, 2014.
Twitter like
messaging service Weibo Corporation has filed to raise $ 500 million via a US
initial public offering. Alibaba, which owns a stake in Weibo is expected to
raise about $ 15 billion New York this year in the highest profile Internet IPO
since Facebook’s in 2012.
Bharti Airtel has
raised Rs.2,453.2 crore (350 million Swiss Francs) by selling six-year bonds at
a coupon rate of three per cent and maturing in 2020. This is the largest ever
bond offering by an Indian company in Swiss Francs. Bharat Petroleum
Corporation raised 175 million Swiss Francs by selling five year bonds at 2.98
% coupon rate in February.
Indian Oil
Corporation plans to invest Rs 7650 crore in setting up a petrochemical complex
at its almost complete Paradip refinery in Odhisha in three to four years. The
company board is set to consider the setting up of a 700000 tonne per annum
polypropylene plant at an estimated cost at Rs.3150 crore.
Global chief
information officers at gathering in Bangalore in April to meet Indian startups
at an event called Tech50 Watchout for Little Eye Labs-Facebook type deals in
the making.
RBI DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of
31-03-2012.
INFORMATION DENIED
MANAGEMENT NON-COOPERATIVE (Tel. No.: 91-80-25531461)
LOCATIONS
|
Registered/ Corporate Office : |
II Block, Koramangala, Bangalore – 560034, Karnataka, India |
|
Tel. No.: |
91-80-25531461 to 25531470/ 25535937 to 25535940 |
|
Fax No.: |
91-80-25532153/ 25535941, 25630984 |
|
E-Mail : |
bpurchase@kudreore.com |
|
Website : |
|
|
|
|
|
Factory : |
Pellet
Plant Unit/ Blast Furnace Unit New Mangalore Port, Panambur, Mangalore – 575010, Karnataka, India |
|
Tel. No.: |
91-824-2409681/ 2409689 / 2408916 |
|
Fax No.: |
91-824-2407422/ 2408224/ 2409366/ 2408224 |
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E-Mail : |
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Other Factory: |
Located at: ·
Kudremukh in Chickmagalur District, Karnataka,
India ·
Mangalore in Dakshina Kannada District,
Karnataka, India |
|
|
|
|
PROJECT OFFICE: |
|
|
|
|
|
Chikkanayakanahalli Unit : |
Adjacent to JMFC
Court Building, Kanakagiri Extension, Ward No.3, Chikkanayakanahalli –
572214, Tumkur District, Karnataka, India |
|
Tel. No.: |
91-8133-268331 |
|
Fax No.: |
91-8133-268331 |
|
E-Mail : |
|
|
|
|
|
Kudremukh Unit : |
Kudremukh – 577142, Chickmagalur District, |
|
Tel. No.: |
91-8263-254148 |
|
Fax No.: |
91-8263-254117 |
|
E-Mail : |
|
|
|
|
|
Sandur
Unit : |
Plot No.1221, Bhosle Complex, Opp. Adarsh Kalyan Mantap, Kudligi Road, Sandur, Bellary District - 583119, Karnataka, India |
|
|
|
|
D-Hirehal
Unit: |
Gavisiddesware Street, Opp to BSNL Tower, D-Hirehal – 515872, Andhra Pradesh, India |
|
|
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|
Liaison Office : |
Located at · New Delhi Chennai Hyderabad Bhubaneswar |
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Logistics
Coordination Office : |
Located at · Visakhapatnam Kirandul Donimalai Bacheli Gua Ore Mines |
DIRECTORS
As on 31.03.2013
|
Name : |
Mr. Malay Chatterjee |
|
Designation : |
Chairman-cum-Managing Director |
|
Date of Birth/Age : |
23.08.1963 |
|
Qualification : |
BE (Civil), LL.B, Master of science in disaster mitigation |
|
Date of Appointment : |
01.07.2012 |
|
|
|
|
Name : |
Mr. Vinod Kumar Thakral |
|
Designation : |
Director |
|
Date of Birth/Age : |
02.07.1956 |
|
Qualification : |
PG in Political Science PG in Dev Adm Social Sciences (University of Birmingham) |
|
Date of Appointment : |
31.05.2013 |
|
|
|
|
Name : |
Mr. Lokesh Chandra |
|
Designation : |
Government Nominee Director |
|
Date of Birth/Age : |
30.11.1970 |
|
Qualification : |
BE (Civil Engineering) M.Tech (Structures) |
|
Date of Appointment : |
13.03.2013 |
|
|
|
|
Name : |
Mr. K. Subba Rao |
|
Designation : |
Director (Production and Projects) |
|
Date of Appointment : |
09.06.2011 |
|
|
|
|
Name : |
Mr. K. Laxminarayana |
|
Designation : |
Director (Finance) |
|
Date of Birth/Age : |
02.05.1956 |
|
Qualification : |
B. Com, ACA |
|
Date of Appointment : |
01.09.2011 |
|
|
|
|
Name : |
Mr. M.V. Subba Rao |
|
Designation : |
Director (Commercial) |
|
Date of Birth/Age : |
06.06.1961 |
|
Qualification : |
B.Tech (Metallurgy) PGD in marketing and MBA (Marketing) |
|
Date of Appointment
: |
01.02.2013 |
|
|
|
|
Name : |
Mr. Vinai Kumar Agarwal |
|
Designation : |
Director |
|
Date of Birth/Age : |
30.10.1950 |
|
Qualification : |
B. Sc, BE (Civil), IIT Roorkee |
|
Date of Appointment
: |
02.08.2011 |
|
|
|
|
Address : |
Mr. S Manoharan |
|
Date of Birth/Age : |
Director |
|
Date of Birth/Age : |
29.05.1950 |
|
Qualification : |
M.Sc (Zoology), M.Sc (Defence Studies), MA (International Development Studies) |
|
Date of Appointment
: |
05.07.2013 |
|
|
|
|
Name : |
Mr. P K Bajaj |
|
Designation : |
Director |
|
Date of Birth/Age : |
05.04.1952 |
|
Qualification : |
BE (Hons) Metallurgy |
|
Date of Appointment
: |
05.07.2013 |
|
|
|
|
Name : |
Dr. S Raghunath |
|
Designation : |
Director |
|
Date of Birth/Age : |
24.05.1957 |
|
Qualification : |
Post-Doctoral Fellow, Graduate of Business, Stanford University, Doctor of Philosophy |
|
Date of Appointment : |
05.07.2013 |
KEY EXECUTIVES
|
Name : |
Mr. S.K. Padhi |
|
Designation : |
Company Secretary |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.12.2013
|
Category of shareholder |
No. of Shares |
Percentage of
Holding |
|
|
|
|
|
Indian |
|
|
|
Individuals/ Hindu Undivided Family |
-- |
-- |
|
Central Government/ State Government(s) |
628,144,130 |
99.00 |
|
Bodies Corporate |
-- |
-- |
|
Financial Institutions/ Banks |
-- |
-- |
|
Any Other (specify) |
-- |
-- |
|
Sub-Total (A)(1) |
628144130 |
99.00 |
|
Foreign |
|
|
|
Individuals (Non-Resident Individuals/ Foreign Individuals) |
-- |
-- |
|
Bodies Corporate |
-- |
-- |
|
Institutions |
-- |
-- |
|
Qualified Foreign Investor |
-- |
-- |
|
Any Other (specify) |
-- |
-- |
|
Sub-Total (A)(2) |
0 |
0.00 |
|
Total Shareholding of Promoter and Promoter Group (A)= (A)(1)+(A)(2) |
628,144,130 |
99.00 |
|
|
|
|
|
Institutions |
|
|
|
Mutual Funds/ UTI |
2,580,000 |
0.41 |
|
Financial Institutions/ Banks |
800,000 |
0.13 |
|
Central Government/ State Government(s) |
-- |
-- |
|
Venture Capital Funds |
-- |
-- |
|
Insurance Companies |
2,778,300 |
0.44 |
|
Foreign Institutional Investors |
-- |
-- |
|
Foreign Venture Capital Investors |
-- |
-- |
|
Qualified Foreign Investor |
-- |
-- |
|
Any Other (specify) |
-- |
-- |
|
Sub-Total (B)(1) |
6,158,300 |
0.97 |
|
Non-institutions |
|
|
|
Bodies Corporate |
20,071 |
0.00 |
|
Individuals - |
|
|
|
i. Individual shareholders holding nominal share
capital up to Rs. 0.100 Million |
178,099 |
0.03 |
|
ii. Individual shareholders holding nominal share capital in
excess of Rs. 0.100 Million |
13,200 |
0.00 |
|
Qualified Foreign Investor |
-- |
-- |
|
Any Other (specify) |
|
|
|
NRI |
-- |
-- |
|
Clearing Member |
-- |
-- |
|
Sub-Total (B)(2) |
211,370 |
0.03 |
|
Total Public Shareholding
(B)= (B)(1)+(B)(2) |
6,369,670 |
1.00 |
|
TOTAL (A)+(B) |
634,513,800 |
100.00 |
|
Shares held by Custodians and
against which Depository Receipts have been issued |
|
|
|
Promoter and Promoter Group |
-- |
-- |
|
Public |
-- |
-- |
|
Sub-Total (C) |
-- |
-- |
|
GRAND TOTAL (A)+(B)+(C) |
634,513,800 |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Subject is engaged
in the business of manufacturing and exporting high quality Iron Oxide
Pellets and supply of pig iron for domestic market. |
||||||||
|
|
|
||||||||
|
Products : |
|
PRODUCTION STATUS (AS ON 31.03.2011)
|
Particulars |
Iron ore
Concentrate |
Iron ore Pellets |
Pig Iron |
|
Qty (Million Ton) |
Qty (Million Ton) |
Qty (Million Ton) |
|
|
Licenced Capacity |
Licence not required |
4.000 |
Licence not required |
|
Installed Capacity |
7.500 |
3.500 |
0.216 |
|
Actual Production |
Nil |
2.124 |
- |
Notes:
1) Pellets include
Pellet-fines also.
2) Pig Iron includes Auxiliary.
GENERAL INFORMATION
|
No. of Employees : |
1251 (Approximately) |
|
|
|
|
Bankers : |
State Bank of India, Bangalore Commercial Branch, Hudson Circle, Banglaore – 560001, Karnataka, India |
|
Banking
Relations : |
-- |
|
|
|
|
Statutory Auditors
: |
|
|
Name : |
Sundaram and Srinivasan Chartered Accountants |
|
Address: |
New No.4, Old No. 23, CP Rama Swamy Road, Alwarpet, Chennai – 600018, Tamilnadu, India |
|
|
|
|
Cost Auditors: |
|
|
|
Giridhar Ramakrishnan and Company Cost Accountants |
CAPITAL STRUCTURE
As on 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
67,50,00,000 |
Equity Shares |
Rs.10/- each |
Rs. 6750.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
63,45,13,800 |
Equity Shares |
Rs.10/- each |
Rs. 6345.138 Millions |
|
|
|
|
|
NOTE
a)
During the year, the Company has not issued/bought back any shares
b) Details of shareholders holding
more than 5% shares in the Company:
|
Particulars |
31.03.2013 |
|
|
No of shares |
% holding |
|
|
|
|
|
|
- Government of India |
628144130 |
99.00% |
|
|
|
|
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
I.
EQUITY
AND LIABILITIES |
|
|
|
|
(1)Shareholders'
Funds |
|
|
|
|
(a) Share Capital |
6345.138 |
6345.138 |
6345.138 |
|
(b) Reserves & Surplus |
14597.314 |
14361.073 |
13640.029 |
|
(c) Money
received against share warrants |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
(2)
Share Application money pending allotment |
0.000 |
0.000 |
0.000 |
|
Total
Shareholders’ Funds (1) + (2) |
20942.452 |
20706.211 |
19985.167 |
|
|
|
|
|
|
(3) Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
0.000 |
0.000 |
0.000 |
|
(b) Deferred tax liabilities (Net) |
0.000 |
0.000 |
0.000 |
|
(c) Other long term liabilities |
7.747 |
7.368 |
7.118 |
|
(d) long-term provisions |
1461.105 |
1177.596 |
1094.943 |
|
Total Non-current Liabilities (3) |
1468.852 |
1184.964 |
1102.061 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
0.000 |
0.000 |
0.000 |
|
(b) Trade payables |
248.293 |
285.308 |
1530.234 |
|
(c) Other current
liabilities |
1131.244 |
1152.895 |
116.296 |
|
(d) Short-term provisions |
171.096 |
309.119 |
199.068 |
|
Total Current Liabilities (4) |
1550.633 |
1747.322 |
1845.598 |
|
|
|
|
|
|
TOTAL |
23961.937 |
23638.497 |
22932.826 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
3328.894 |
3584.813 |
3083.652 |
|
(ii) Intangible Assets |
0.000 |
0.000 |
64.166 |
|
(iii) Capital
work-in-progress |
65.694 |
240.240 |
610.287 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
0.000 |
0.000 |
0.000 |
|
(c) Deferred tax assets (net) |
258.281 |
163.223 |
145.128 |
|
(d) Long-term Loan and Advances |
0.000 |
0.000 |
0.000 |
|
(e) Other Non-current assets |
110.475 |
101.144 |
83.748 |
|
Total Non-Current Assets |
3763.344 |
4089.420 |
3986.981 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
0.000 |
0.000 |
0.000 |
|
(b) Inventories |
3329.867 |
2202.374 |
2358.532 |
|
(c) Trade receivables |
1668.858 |
852.135 |
792.366 |
|
(d) Cash and cash
equivalents |
14157.675 |
14645.419 |
14438.299 |
|
(e) Short-term loans and
advances |
426.923 |
1131.565 |
751.755 |
|
(f) Other current assets |
615.270 |
717.584 |
604.893 |
|
Total Current Assets |
20198.593 |
19549.077 |
18945.845 |
|
|
|
|
|
|
TOTAL |
23961.937 |
23638.497 |
22932.826 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Revenue from operations |
9762.935 |
13892.908 |
16765.579 |
|
|
|
Other Income |
2051.807 |
1713.312 |
1177.863 |
|
|
|
TOTAL |
11814.742 |
15606.220 |
17943.442 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of materials consumed |
7662.364 |
9277.534 |
10605.263 |
|
|
|
Changes in
inventories of finished goods, work-in-progress and stock-in-Trade |
(888.360) |
21.522 |
94.964 |
|
|
|
Employee
benefits expense |
1549.413 |
1424.572 |
1276.503 |
|
|
|
Other expenses |
2735.649 |
3319.634 |
4596.541 |
|
|
|
TOTAL |
11059.066 |
14043.262 |
16573.271 |
|
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION |
755.676 |
1562.958 |
1370.171 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION |
432.248 |
409.016 |
370.661 |
|
|
|
|
|
|
|
|
|
|
PROFIT/ (LOSS)
BEFORE TAX |
323.428 |
1153.942 |
999.510 |
|
|
|
|
|
|
|
|
|
Less |
TAX |
12.952 |
210.929 |
236.788 |
|
|
|
|
|
|
|
|
|
|
PROFIT/ (LOSS)
AFTER TAX |
310.476 |
943.013 |
762.722 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export of goods (FOB) |
0.000 |
4961.528 |
6945.490 |
|
|
|
Other receipts |
0.000 |
0.743 |
3.936 |
|
|
TOTAL EARNINGS |
0.000 |
4962.271 |
6949.426 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Components and spare parts |
133.938 |
211.053 |
72.293 |
|
|
|
Furnace oil |
1366.850 |
1557.879 |
1408.279 |
|
|
|
Consumables and additives |
36.025 |
90.033 |
76.572 |
|
|
|
Capital goods |
5.355 |
546.174 |
37.200 |
|
|
TOTAL IMPORTS |
1542.168 |
2405.139 |
1594.344 |
|
|
|
|
|
|
|
|
|
|
Earnings/ (Loss)
Per Share (Rs.) |
0.49 |
1.49 |
1.20 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
2.63 |
6.04 |
4.25 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
3.31 |
8.31 |
5.96 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
1.37 |
4.97 |
4.51 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.02 |
0.06 |
0.05 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
0.00 |
0.00 |
0.00 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
13.03 |
11.19 |
10.27 |
FINANCIAL ANALYSIS
[all figures are
in Rupees Millions]
DEBT EQUITY RATIO
|
Particular |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Share Capital |
6345.138 |
6345.138 |
6345.138 |
|
Reserves & Surplus |
13640.029 |
14361.073 |
14597.314 |
|
Net
worth |
19985.167 |
20706.211 |
20942.452 |
|
|
|
|
|
|
long-term borrowings |
0.000 |
0.000 |
0.000 |
|
Short term borrowings |
0.000 |
0.000 |
0.000 |
|
Total
borrowings |
0.000 |
0.000 |
0.000 |
|
Debt/Equity
ratio |
0.000 |
0.000 |
0.000 |
YEAR-ON-YEAR GROWTH
|
Year
on Year Growth |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Sales |
16765.579 |
13892.908 |
9762.935 |
|
|
|
(17.134) |
(29.727) |
NET PROFIT MARGIN
|
Net
Profit Margin |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Sales |
16765.579 |
13892.908 |
9762.935 |
|
Profit |
762.722 |
943.013 |
310.476 |
|
|
4.55% |
6.79% |
3.18% |
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check List by Info Agents |
Available in
Report (Yes / No) |
|
1] |
Year of Establishment |
Yes |
|
2] |
Locality of the firm |
Yes |
|
3] |
Constitutions of the firm |
Yes |
|
4] |
Premises details |
No |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
Yes |
|
8] |
No. of employees |
Yes |
|
9] |
Name of person contacted |
No |
|
10] |
Designation of contact
person |
No |
|
11] |
Turnover of firm for last
three years |
Yes |
|
12] |
Profitability for last
three years |
Yes |
|
13] |
Reasons for variation
<> 20% |
----- |
|
14] |
Estimation for coming
financial year |
No |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister
concerns |
No |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
No |
|
20] |
Export / Import details
(if applicable) |
No |
|
21] |
Market information |
----- |
|
22] |
Litigations that the firm
/ promoter involved in |
----- |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
Yes |
|
25] |
Conduct of the banking
account |
----- |
|
26] |
Buyer visit details |
----- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if
applicable |
Yes |
|
29] |
Last accounts filed at
ROC |
Yes |
|
30] |
Major Shareholders, if
available |
Yes |
|
31] |
Date of Birth of
Proprietor/Partner/Director, if available |
Yes |
|
32] |
PAN of Proprietor/Partner/Director,
if available |
No |
|
33] |
Voter ID No of
Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating,
if available |
No |
INDEX OF CHARGES
|
S.NO. |
CHARGE ID |
DATE OF CHARGE CREATION/MODIFICATION |
CHARGE AMOUNT SECURED |
CHARGE HOLDER |
ADDRESS |
SERVICE REQUEST NUMBER (SRN) |
|
1 |
80007707 |
06/03/2008 * |
2,500,000,000.00 |
STATE BANK OF INDIA |
SPECIALISED COMMERCIAL BRANCH, IST FLOOR, KRISHI BHAVAN, HUDSON CIRCLE, BANGALORE - 560001, KARNATAKA, INDIA |
A34488569 |
|
2 |
90191421 |
02/12/2000 * |
600,000,000.00 |
STATE BANK OF INDAI |
C&I DIVISON, BANGALORE CITY BRANCH; JC ROAD, BANGALORE - 560002, KARNATAKA, INDIA |
- |
|
3 |
90190296 |
02/12/2000 * |
150,000,000.00 |
STATE BANK OF INDAI |
C&I DIVISON, BANGALORE CITY BRANCH; JC ROAD, BANGALORE - 560002, KARNATAKA, INDIA |
- |
* Date of charge modification
SEGMENT-WISE
PERFORMANCE
PELLETS
During the year, the Company has set an annual target of 2.500 million tons of Pellet production in the MOU under “Good” category. As against the same, the actual production was 1.265 million tons, which is 51% achievement of the target. The shortfall is on account of unprecedented decline in demand and price for Pellets coupled with non-availability of adequate quantity of Iron Ore fines after blanket ban on mining in the State of Karnataka imposed by Hon’ble Supreme Court. During the year the Pellet Plant was operated only for 144 days.
PIG IRON AND
AUXILIARY
The operation of Blast Furnace Unit continued to remain suspended since 05.08.2009 owing to generation of negative contribution. In an effort to revive the operation at BFU, the Company made an internal assessment taking into consideration the input cost vis-a-vis selling price of the finished products. Since the economics are unfavorable it was decided to keep the operation suspended.
MARKETING AND
EXPORTS:
Non-availability of captive mines and banning of mining operations in Karnataka forced the Company to source Iron Ore from NMDC Bailadila resulting in very high logistics cost. Further levy of distance based charge by Railway has deprived the Company on its export market and confined to domestic market.
In the absence of export market, made efforts to expand its market base by serving the needs of SAIL, a Co-PSU and also by catering to the needs of mini steel plants and sponge iron units by starting despatches through road which has hitherto nonexistent, achieving highest domestic sale till date. The Company is continuing with its efforts to regain its lost ground and further expand its market base. The Company also started moving Pellets by small vessels with a capacity of around 6,000 tons to serve to small coastal customers.
During the year, 24 shipments of Pellets with around 1.058 Million tons were sold through New Mangalore Port as compared to 38 during 2011-12. The balance 0.178 million tons of Pellets were sold through Road.
MARKET SCENARIO:
Global Steel production which has been on an upward trend from 2009, continued with an annual increase of 4% to 1548 million tons in 2012. However global steel consumption growth was lower at 1.2% to 1436 million tons and is expected to grow only by 2.9% to 1454 million tons in 2013. Year 2012 was a challenging period for the Steel industry when demand declined, mainly due to the Euro zone crisis which persisted throughout 2012. On top of this, corrective economic measures in major emerging economies also contributed to a slowdown globally.
China’s Steel production touched 716 million tons in 2012, an increase of 3% over last year. However the Steel consumption increased only by 1.9% to 645 million tons, as the Chinese government controlled investments in an effort to rebalance the economy.
Indian Steel production showed an increase of 4.5% to 76.7 million tons in 2012 but with a slower demand growth of 3.3% to 71.6 million tons. The demand is expected to pick up and grow by 5.9% to 75.8 million tons in 2013, as monetary easing is expected to support investment activities. In 2014, growth in Steel demand is expected to further accelerate to 7.0% due to the reform measures taken by Government for narrowing the fiscal deficit and improve foreign direct investment.
For global Steel industry, year 2013 has started on a tough note. Supply continues to outpace demand, leading to low capacity utilization rates, poor pricing power and continued weak margins. Despite increased demand for Steel and the removal of some of the outdated Steelmaking capacity in 2012, the level of excess capacity has increased, due to the continued growth in new Steelmaking facilities. However the Indian Steel market is expected to show increase in demand due to the impact of the reforms and investments being carried out by Government of India during the year 2013.
The global production of Iron Ore is estimated to show an increase of 2.5% to 3000 million tons during 2012. Iron Ore prices which declined during 2012 are expected to continue the decline over the next year also, with slowing Chinese demand, and additional global supply of around 200 million tons during next two years. With Pellet market moving in tandem with Iron Ore market, lower international prices are predicted during the coming year.
In Indian market, the Supreme Court’s order banning the mining in Karnataka, Goa and Odisha due to violation of environmental norms, led to scarcity of Iron Ore. This led to a firm demand for Pellets having higher quality during the year. However, the oversupply of Pellets in the market caused prices to slide by around 1000/Mt during 2012. With the recent decision of Supreme Court, permitting ‘B’ category mines to start mining, the availability of Ore is expected to improve during 2013. Continuous import of high grade Pellets as well as Iron Ore Lumps, commissioning of new Pellet plants in eastern sector and the improving availability of Iron Ore Lumps may affect the demand and margins for Pellets in 2013.
Distance based charges: The Company is a Port based manufacturing unit having its Pelletisation Complex at Mangalore. It enjoys 100% Export Oriented Unit status thereby clearly indicating that the Company’s operations are export oriented for its product- Pellets. With the suspension of mining operations at Kudremukh mine site, the Company is procuring Iron Ore fines from NMDC Mines and transporting the same to its plants at Mangalore by Rail or Rail cum Sea route. Railways have raised an issue regarding applicability of Distance based charge over and above normal freight on Iron Ore transported through Railway network for manufacture of Pellets meant for export.
This has turned Pellets uneconomical for sourcing by overseas market. However, the Iron Ore so moved and utilised in the Steel plants for manufacture of Steel and subsequent export does not attract Distance based charges. This benefit is not available for Pellets though it is a manufactured and a value added product, technically and commercially, like Steel but distinct from Iron Ore fines and Lumps. It is a clear violation of Article XIV of Constitution of India.
Accordingly, the issue of Distance Based Charge raised by Railways is challenged before the Hon’ble High Court of Karnataka through a writ petition. The Writ Petition was dismissed. The Company is contemplating to appeal the aforesaid decision before the divisional bench of High Court of Karnataka as soon as the Company receives the copy of judgment order.
AWARD AND RECOGNITION
The Company was conferred with Raj Bhasha Shield 1st Prize for the year 2011-12 for the outstanding performance in the implementation of Official Language by Department of Official Language, Ministry of Home Affairs, New Delhi on 22-02-2013.
MANAGEMENT DISCUSSION
AND ANALYSIS
INDUSTRY STRUCTURE
AND DEVELOPMENT
The Indian Steel industry had a dismal year during 2012-13 due to poor performance of the infrastructure segment. However, demand for quality Pellets remained firm due to restricted availability of Iron Ore, but this did not translate into better prices for Pellets as many new Pellet plants entered into the market resulting in over supply of Pellets and putting severe pressure on Pellet prices. The low prices resulted in restricted sale of their Pellets in domestic market during 2012-13. The issue raised by Railways regarding applicability of Levy of Distance based charges over and above normal freight on Iron Ore transported through Railway network for manufacture of Pellets and subsequent export has made the sale of Pellets in International market unviable. Export of Pellets has been stopped from September 2011. These factors affected Production of Pellets during 2012-13. The Plant operation had to be intermittently stopped due to poor market conditions.
Production and sale of Pellets during the financial year 2012-13 was 1.265 Million tons and 1.236 Million Tons respectively. Indian Pellet capacity is expected to cross 90 million tons by the end of 2013-14. Almost all the Steel
Manufacturers in private sector have commissioned their captive Pellet plants and the excess production from these plants may hit the market in the coming days. However, DR grade Pellet is expected to maintain its premium continuously for ever.
OUTLOOK
KIOCL is a zero debt company and has a large Equity base with highly Technical manpower. The Company is exploring the possibilities of diversifying into entering into new areas of business such as acquiring new mining leases, setting up of beneficiation cum Pellet plants under JVs, O&M contracts with new Pellet plants, e-commerce, solar power etc.
To make the Blast Furnace unit (BFU) economically viable on standalone basis and as a backward integration to the BFU, the Company has proposed to set up a non-recovery type Coke Oven Battery of 3.0 lakh tons per annum capacity along with a 25 MW Captive Power plant. M/s SAIL were contacted for a possible tie up to take the above project forward on Joint Venture basis in the best interest of both KIOCL and VISL unit of SAIL located at Bhadravati, as both the plants require Coke for their furnaces.
The Company had initiated action for setting up of a permanent railway siding and bulk material handling system at about 3 kms. From KIOCL’s Pellet plant at Baikampady industrial area, Mangalore for receipt and mechanized handling of Iron Ore and other raw materials received through Railway wagons and their storage and conveying to KIOCL’s Pellet plant Unit and Blast Furnace Unit. The total investment for this project as per the DPR is estimated at ` 303 crores. The company has initiated dialogue with M/S MRPL for a possible tie up for this project
The Company is pursuing to enter into a contract with M/s NMDC, for Operation and Maintenance of their upcoming Beneficiation Plant and Pellet Plant at Donimalai. Efforts are on in this direction to get the contract and utilize the expertise available with KIOCL in operating the plants for mutual benefit of both the organization.
In similar way, the Company is exploring the possibility of having a Joint Venture with M/s OMDC– M/s RINL for setting up of Beneficiation Plant and Pellet Plant at Thakurani mines of M/s OMDC at Odisha.
The Company with an objective of providing expertise in the fields of mining, beneficiation and Pelletisation by utilizing the expertise available with KIOCL has proposed to establish a R and D and training center with state of the art facilities for the benefit of steel industry at a suitable location around Bangalore. The Company approached
M/s Karnataka Industrial Area Development Board (KIADB) requesting them to allot 5 acres of land for the purpose. M/s KIADB vide their letter no. KIADB/HO/Secy-2/455 dated 26th April 2013 have informed their decision to allot an extent of 5.00 acre of land at Obhadenahalli Industrial area. After completing the necessary formalities and approvals, Company will take forward this project further.
To secure Iron ore for its Pellet Plant, the Company has submitted various mining lease applications to Govt of Karnataka (GoK). Chikkanayakanahalli Iron Ore mining lease is already recommended by the GoK and the Company is in the process of obtaining various statutory clearances to commence the mining operation. Other mining lease applications are under different stages of processing by GoK.
The Company has also submitted mining lease applications for Iron Ore in the States of Odisha, Jharkhand and
Andhra Pradesh. The same is being pursued with highest authorities for early clearance.
Company is in the process of entering into Memorandum of Understanding with APMDC for exploration and
exploitation of Iron Ore Deposit at Nemakal village in Anantapur Dist, Andhra Pradesh by APMDC and KIOCL, setting up of Beneficiation and Pelletisation Plant by KIOCL and supply of Pellets to RINL
UNAUDITED FINANCIAL RESULTS FOR THE QUARTER AND NINE MONTHS
ENDED ON 31ST DECEMBER 2013
(Rs. in millions)
|
Sr. No. |
Particulars |
Quarter
Ended |
Nine Month
Ended |
|
|
3 Months ended |
Preceding 3
Months ended |
Year to
date figures for current period ended |
||
|
31.12.2013 |
30.09.2013 |
31.12.2013 |
||
|
(Unaudited) |
(Unaudited) |
(Unaudited) |
||
|
1 |
Income from Operations |
|
|
|
|
|
(a) Net
Sales / Income from Operations |
4115.000 |
3207.300 |
9315.300 |
|
|
(b) Other
Operating Income |
5.600 |
0.400 |
170.900 |
|
|
Total income from operations (net) |
4120.600 |
3207.700 |
9486.200 |
|
2 |
Expenses: |
|
|
|
|
|
a)
Cost of materials consumed |
3360.100 |
2095.100 |
6930.500 |
|
|
b)
Purchase of stock-in-trade |
-- |
-- |
-- |
|
|
c)
Changes in inventories of finished
goods, work-in-progress and stock-in-trade |
(605.700) |
251.400 |
(408.800) |
|
|
d)
Power and Fuel |
682.800 |
483.600 |
1512.700 |
|
|
e)
Employees benefits expense |
344.500 |
361.300 |
1084.800 |
|
|
f)
Depreciation and DRE |
110.500 |
110.500 |
306.500 |
|
|
g)
Others |
420.700 |
324.000 |
989.700 |
|
|
Total expenses |
4312.900 |
3625.900 |
10415.400 |
|
3 |
Profit/(Loss)
from operations before other income, finance costs and exceptional items (1-2) |
(192.300) |
(418.200) |
(929.200) |
|
4 |
Other
Income |
340.300 |
330.300 |
1000.900 |
|
5 |
Profit/(Loss)
from ordinary activities before finance costs and exceptional items (3+4) |
148.000 |
(87.900) |
71.700 |
|
6 |
Finance
costs |
-- |
-- |
-- |
|
7 |
Profit/(Loss)
from ordinary activities after finance costs and before exceptional items
(5-6) |
148.000 |
(87.900) |
71.700 |
|
8 |
Exceptional
Items |
-- |
(635.200) |
635.200 |
|
9 |
Profit(+)/Loss(-)
from Ordinary Activities before tax (7+/-8) |
148.000 |
(723.100) |
(563.500) |
|
10 |
Tax
expenses |
-- |
(3.800) |
-- |
|
11 |
Net Profit (+)/Loss
(-) from Ordinary Activities after tax (9-10) |
148.000 |
(719.300) |
(563.500) |
|
12 |
Extraordinary
Items (net of tax expenses) |
-- |
-- |
-- |
|
13 |
Net Profit
(+)/ Loss (-) for the period (11 -12) |
148.000 |
(719.300) |
(563.500) |
|
14 |
Share of
profit/(Loss) of associates |
NA |
NA |
NA |
|
15 |
Minority
Interest |
NA |
NA |
NA |
|
16 |
Net
Profit/(Loss) after taxes, minority interest and share of profit/(Loss) of
associates (13±14±15) |
148.000 |
(719.300) |
(563.500) |
|
17 |
Paid-up equity
share capital (Face value of the share Rs.10 each ) |
6345.100 |
6345.100 |
6345.100 |
|
18 |
Reserves
excluding Revaluation Reserves as per Balance sheet of previous accounting
year |
-- |
-- |
-- |
|
|
|
|
|
|
|
19 |
(i) Earning
Per Share (before extraordinary items) (of Rs.10 each) (a) Basic
and diluted EPS before Extraordinary items for the period, for the year to
date and for the previous year |
(0.23) |
(1.13) |
(0.89) |
|
|
|
|
|
|
|
|
(ii) Earning
Per Share (before extraordinary items) (of Rs.10 each) (a) Basic
and diluted EPS after Extraordinary items for the period, for the year to
date and for the previous year |
(0.23) |
(1.13) |
(0.89) |
|
|
|
|
|
|
|
A |
PARTICULARS OF SHAREHOLDING |
|
|
|
|
1. |
Public shareholding |
|
|
|
|
|
- Number of
shares |
6369670 |
6369670 |
6369670 |
|
|
-
Percentage of shareholding |
1.0039% |
1.0039% |
1.0039% |
|
~2. |
Promoters
and Promoter Group shareholding |
|
|
|
|
|
(a) Pledged
/ Encumbered |
|
|
|
|
|
- Number of
shares |
-- |
-- |
-- |
|
|
-
Percentage of shares (as a % of the total shareholding of promoter and
promoter group) |
-- |
-- |
-- |
|
|
-
Percentage of shares (as a % of the total share capital of the company) |
-- |
--- |
-- |
|
|
(b)
Non-encumbered |
|
|
|
|
|
- Number of
shares |
628144130 |
628144130 |
628144130 |
|
|
-
Percentage of shares (as a % of the total shareholding of promoter and
promoter group) |
100% |
100% |
100% |
|
|
- Percentage
of shares (as a % of the total share capital of the company) |
98.9961% |
98.9961% |
98.9961% |
|
|
Particulars |
3 months ended 31.12.2013 |
|
B |
Investor's
Complaints (Nos.) |
|
|
|
Pending at
the beginning of the quarter |
NIL |
|
|
Received
during the quarter |
NIL |
|
|
Disposed
off during the quarter |
NIL |
|
|
Remaining
unresolved at the end of the year |
NIL |
(Rs. in millions)
|
|
Particulars |
Quarter Ended |
Nine Month Ended |
|
|
|
3 Months ended |
Preceding 3 Months ended |
Year to date figures for current period ended |
|
|
|
31.12.2013 |
30.09.2013 |
31.12.2013 |
|
|
|
(Unaudited) |
(Unaudited) |
(Unaudited) |
|
|
1 |
Segment Revenue |
|
|
|
|
|
a) Pellet Plant |
4114.200 |
3203.600 |
9299.200 |
|
|
b) Pig Iron
Plant |
0.800 |
3.700 |
16.100 |
|
|
c) Total |
4115.000 |
3207.300 |
9315.300 |
|
|
Less: Inter
segment revenue |
|
|
|
|
|
Net Sales/Income from Operation |
|
|
|
|
2 |
Segment Results |
|
|
|
|
|
a) Pellet
Plant |
(117.700) |
(950.200) |
(1302.900) |
|
|
b) Pig Iron
Plant |
(74.600) |
(103.200) |
(261.500) |
|
|
c)
Unallocable Income |
340.300 |
330.300 |
1000.900 |
|
|
Profit
before Tax |
148.000 |
(723.100) |
(563.500) |
|
3 |
Capital employed |
|
|
|
|
|
(Segment Assets - Segment
Liabilities) |
|
|
|
|
|
a) Pellet
Plant |
3597.600 |
3070.100 |
3597.600 |
|
|
b) Pig Iron
Plant |
1030.500 |
1306.200 |
1030.500 |
|
|
c)
Unallocable Corporate Assets less Liabilities |
15750.900 |
15854.700 |
15750.900 |
|
|
Total |
20379.000 |
20231.000 |
20379.000 |
Notes:
1.
The
above results have been reviewed by the Audit Committee and approved in the
meeting of the Board of Directors held on 11.02.2013.
2.
The
Statutory Auditors have carried out a limited review of the financial results
for the quarter ended on December 31, 2013.
3.
Exceptional
item represents VRS and other terminal benefits given to employees separated
under VR scheme.
4.
During
the year, the company retrieved iron ore fines at pellet plant which was
accumulated over the period in the cooling pond and the same is valued at last
purchase price of Doni fines (Rs. 43.800 Millions) as it was done in earlier
year.
5.
South
Western Railways (SWR) and East Coast Railways (ECR) have raised an issue
regarding the applicability of distance based charge over and above normal
freight on iron ore transporated through railway network for manufacture of
pellet and subsequent export. 1) South Western Railways – KIOCL has filed writ
appeal before the Karnataka High Court Challenging the dismissal orders of the
writ petition by the single judge. While staying the applicability of Distance
Based Charges, the Hon’ble Court has passed an interim order directing KIOCL to
deposit 50% of the demand excluding penalty. The company has since paid Rs.
636.400 Millions as per the court directive. 2) East Coast Railways – KIOCL has
filed a writ petition before the Odisha High Court challenging the levy and
penalty on distance based charges. The Hon’ble Court has passed an interim
order staying the levy and penalty on Distance based charges and directed KIOCL
to deposit 50% of the demand excluding penalty. The company has paid Rs.
100.000 Millions as advance during the quarter and the balance amount of Rs.
235.000 Millions will be paid during the month of January before the due date
as per the court directive.
6.
The
previous periods figures have been regrouped / rearranged wherever necessary.
CONTINGENT
LIABILITIES:
|
PARTICULARS |
31.03.2013 (Rs.
In Millions) |
31.03.2012 (Rs.
In Millions) |
|
(a) In respect of -
Letters of Credit and Bank Guarantees etc., outstanding |
|
|
|
(i) On Revenue Account |
83.900 |
654.514 |
|
(ii) On Capital Account |
0.000 |
0.000 |
|
b) Clams against the Company
not acknowledged as debts. |
|
|
|
(i) On Revenue Account * |
1421.913 |
1123.722 |
|
(ii) On Capital Account |
1633.487 |
1615.999 |
|
(c)
Disputed Liabilities in Appeal |
|
|
|
On Revenue Account: |
|
|
|
VAT |
0.000 |
6.508 |
|
Excise Duty |
623.644 |
292.448 |
|
Service Tax |
0.000 |
40.598 |
|
|
|
|
|
NOTE (*includes Rs. 1105.762 Millions
towards Forest Development Tax at the rate of 12% of basic price of
iron ore. NMDC Limited has filed a writ petition in the Hon’ble High Court of Karnataka
challenging the levy of the same. The case is pending for disposal.
Meanwhile, as per the interim order of the Hon’ble Court, Rs. 261.743
Millions (25% of FDT) is collected in cash and Bank Guarantee of Rs.
273.487 Millions is also
collected by NMDC Limited) |
||
FIXED ASSETS
v
Tangible
Assets
Land
– Freehold
Land
– Leasehold
Buildings
Plant
and Equipment
Furniture
and Fixtures
Vehicles
Office
Equipments
Roads,
Bridges and Culverts
Dams,
Embankments etc.
Temporary
Structures
Railway
Siding
Water
Supply, Sewerage & Fire
Prevention
System
Electrical
Installation
v
Intangible Assets
Process
Development Expenditure
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No exist to suggest that subject is or was
the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or investigation
registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No available
information exist that suggest that subject or any of its principals have been
formally charged or convicted by a competent governmental authority for any
financial crime or under any formal investigation by a competent government
authority for any violation of anti-corruption laws or international anti-money
laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling shareholders,
director, officer or employee of the company is a government official or a
family member or close business associate of a Government official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.58.77 |
|
|
1 |
Rs.99.02 |
|
Euro |
1 |
Rs.80.57 |
INFORMATION DETAILS
|
Information Gathered
by : |
HTL |
|
|
|
|
Analysis Done by
: |
DIV |
|
|
|
|
Report Prepared
by : |
ANK |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
5 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
7 |
|
--CREDIT LINES |
1~10 |
5 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
NO |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
54 |
This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a
composite of weighted scores obtained from each of the major sections of this
report. The assessed factors and their relative weights (as indicated through
%) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit transaction.
It has above average (strong) capability for payment of interest and
principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General unfavourable
factors will not cause fatal effect. Satisfactory capability for payment of
interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with full
security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
-- |
NB |
New Business |
-- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or
its officials.